Hopes for rate cut dashed as RBA board meets

Former Reserve Bank of Australia official Paul Bloxham says interest rate cuts are a “distant prospect” until 2025, unless governments can impose policies that lift Australia’s sagging productivity to generate non-inflationary economic growth.

The warning came as RBA board members gathered at the bank’s Sydney headquarters for the historic first two-day board meeting starting on a Monday, ahead of governor Michele Bullock’s first press conference on Tuesday.